Liebherr is set to invest more than CHF200m (£137m) over the next six years to expand its engine development and production site at Bulle in the Swiss canton of Fribourg.
Plans include a new building, due for completion in 2016, for the development and production of common rail fuel injection systems.
Liebherr Machines Bulle develops and produces diesel and gas engines, fuel injection systems, hydraulic components and splitter boxes. These are used in machines and equipment manufactured by Liebherr, but also by customers outside the group.
The area used for engine test benches will be made substantially larger and will cover more than 14,000m². New machine production will also increase in capacity, allowing production of an expanded range of parts.
Production of common rail fuel injection systems, which have been manufactured in Bulle since 2012, should be increased to more than 100,000 units per year.
The new factory section for the development and production of fuel injection systems will cover an area of 9,000m² and is due to be opened in 2016. The building will be separate from the engine and hydraulics production and will feature highly automated assembly lines and quality assurance systems in line with automotive industry standards.
The plans also include modernisation of the service and logistics infrastructure with a new warehouse and logistics centre, and the expansion of the training centre.